NAGA
Hamburg (ots)
At the Copy trading the positions of a user (so-called trader) are copied from an account of another trader. It is part of the concept of social trading that NAGA represents: traders follow lead traders’ methods, copy their trades and interact with each other on dedicated platforms (Feed and Messenger).
It is as simple as it sounds, however (copy) traders should keep a few things in mind:
research: Even with copy trading, traders should always conduct their own research before investing. Because even if you copy from experienced traders, your own capital and all assets are at risk. Past performance is not an indication of possible future performance.
allocate money: Autocopy functions like those of NAGA provide the ability to execute trades in real-time with price matching, allowing for flexibility. The minimum amount depends on the option chosen:
- Proportionate to the leader: Here the positions of the leader (leading top traders) are copied proportionately. For example, if the lead trader opens a position for EUR 500 and you want to copy it 10 percent, you open a position for EUR 50 yourself. For every trade that the Lead Trader opens, 10 percent of that is copied, regardless of the amount he/she allocates.
- Fixed amount per trade: A fixed, minimum amount of money is set here. Example: For every trade that the lead trader opens, you put 20 euros yourself, regardless of whether he/she opens with 100 or 1,000. Each trade is then copied for 20 euros. It is not relative to his/her investment.
Stop Loss and Take Profit: Even when copy trading, it is possible to set Stop Loss and Take Profit amounts to secure trading profits and limit potential losses.
Think long term: Those who shy away from risk should focus on a leader’s consistent performance and not just the highest return – because the longer the track record, the better!
Note drawdown: Drawdown is the total loss suffered by an account over a given period of time. This indicates whether the trader is making high-risk trades or is more risk-averse.
The number of followers of the trader: Like other social platforms, follower count by itself isn’t an indicator of success or quality, but combined with a proven track record, it can be a good sign.
diversification: The stock and crypto markets are volatile, so it is appropriate to pursue a strategy of diversification and money management. Traders should spread their funds across different investment vehicles.
Ben Bilski, CEO and Founder of NAGA, comments on Copy Trading:
“Many traders, especially in their early days, often don’t have the time and skills to keep a constant eye on what’s going on in the financial markets – hence copy trading is becoming increasingly popular. This type of trading brings experienced and inexperienced traders together so that both can benefit from each other New traders and investors can enter the markets with a much shorter learning curve, simply by copying the strategies and trades of successful traders as they observe and learn – all the while remaining in full control of their account.So can everyone participate in trading forex, stocks and other assets in a short period of time with little experience and little capital.”
Press contact:
Berkeley Communications
Alisa Hese
[email protected]
+49 89 7472 62 46
Original content by: NAGA, transmitted by news aktuell
